There can be no denying that AI is changing the way that business is handled, and that fact stands true in the insurance industry too. Although people often fear that emerging tech like AI is moving too quickly, there are some fantastic benefits that can come from this fast-paced technology.
We’re taking a look at the top ways AI is changing how we handle insurance claims.
1. AI may reduce claims
Cars are becoming autonomous, which could see a reduction in the number of accidents on the road. Whilst this isn’t a reality at the moment, it’s likely that over the next ten years we will see many autonomous vehicles on the road.
This could cause the frequency of claims to go down, however it’s likely that it would be coupled with an increase in insurance and repair costs as the complexity of AI powered vehicles increases.
More expensive and high tech cars, mean more expensive and comprehensive insurance. Hence, the change in AI powered vehicles could be good or bad for insurers depending on how you look at it.
2. Data will become more important and readily available
AI is likely to change the way we understand real time data around insurance claims. In the past, data could be inaccurate or take too long to put together however AI promises deep connectivity to real time data from the cars in order to craft accurate claims.
The quality of this data is set to improve with AI, and the presentation of that data is also likely to evolve. AI is likely to make all insurance claims entirely digitalised in one seamless process that will help insurers save time and deliver a better service.
3. Humans will deal with the more emotional side of the claim
Another key way that AI will change the way we handle insurance claims, is that the process of filing the claim will become automated in order to free up time for humans to deal with the more emotional side of things.
This might be providing emotional support, helping deal with courtesy cars and managing injury. As AI helps us streamline the actual claim process, we’ll see human talent doing less manual labour and moving more towards emotional work.
4. Auto claims will save a lot of time and money
It’s likely that the way claims are reported will change for the customer too. Instead of having to take all the details, go through and answer questions for 20 minutes and then finally confirm everything that happened, customers will be able to give insurers information automatically.
AI may mean that sensors in the vehicle will tell the insurer directly what is damaged, so that instead of asking a customer many questions about what happened (very overwhelming!) they will be able to offer emotional value by talking them through stuff after a traumatic event.